Output dip not a problem from regulatory point of view

BRUNEI-MUARA

THE Minister of Energy at the Prime Minister’s Office yesterday said stakeholders are currently addressing issues of asset integrity with regard to Brunei’s infrastructure for oil and gas production.

Yang Berhormat Pehin Datu Singamanteri Colonel (Rtd) Dato Seri Setia (Dr) Hj Mohd Yasmin Hj Umar was referring to work that is being carried out on infrastructure for oil and gas, some of which that have been around for more than 50 years such as South-west AMPA.

The average production of crude oil has declined from 135,000 barrels per day to 121,000 barrels per day in July, according to statistics released by the Department of Economic Planning and Development (JPKE).

“Oil and gas is the major contributor to our GDP. When we have lost production due to unscheduled deferment, it will be reflected. But although it is down to a KPI (key performance indicator) that has been agreed by the Board of Shell, from the regulatory point of view, I do not see it as a problem,” the minister told The Brunei Times yesterday.

“Issues need to be addressed, although in some instances it will affect production. But it is normal in this industry,” he added.

Although there was a decline in production in July, total exports had exceeded the average production in July due to increase in crude oil demand and the availability of surplus crude oil reserves, JPKE stated. – Rachel Thien